NOT GONNA DO IT

06.17.14

Argentina Refuses to Pay U.S. Debts

Jacques Demarthon/AFP/Getty

The Argentine word for “debt” is apparently “extortion.” Argentina was ordered to repay more than $1 billion after a lengthy dispute in the U.S. courts. The Supreme Court now says the country must cough up $1.33 billion to its creditors by June 30 or face default. President Cristina Fernández de Kirchner, however, said her country would not obey the ruling. “What I cannot do as president is submit the country to such extortion,” she said. “It’s our obligation to take responsibility for paying our creditors, but not to become the victims of extortion by speculators.” Argentina owes the hedge fund NML Capital $1.5 billion, and the Supreme Court said it should be paid within the next two weeks. The justices also ruled that creditors have the right to seek Argentina’s hidden assets around the world